Sascha Rupp from Toshiba explains how lithium-titanium-oxide (LTO) batteries are making a significant impact on peak shaving in mobile and stationary applications.
Peak shaving enables industrial and commercial users to manage short-term energy demand peaks by deploying battery systems. Rather than increasing energy supply, these systems utilise stored energy to offset temporary peaks. Adopting this approach enables the use of smaller generators or grid connections, thereby reducing the need for costly infrastructure upgrades. This is particularly relevant for sectors with significant fluctuations in energy demand, such as drills and crane applications and large presses.
Battery requirements for peak shaving
Battery requirements for peak shaving differ notably from those in traditional stationary storage systems, such as photovoltaic (PV) installations. In PV storage systems, batteries are usually charged and discharged slowly and infrequently, with the main objective being to maximise capacity at the lowest possible cost. In contrast, peak shaving batteries must deliver high power in short bursts and withstand frequent cycling. While a PV system might complete an average of 0.5 cycles per day, adding up to 1,800 full equivalent cycles over ten years, a peak shaving battery used 10 times a day must withstand 36,500 cycles over the same ten-year period.
As cycling contributes to the ageing of lithium-ion (Li-ion) batteries, the cycle life and sensitivity to high charge and discharge rates of conventional Li-ion batteries (such NMC or LFP) are often limiting factors. To meet the demands of peak shaving, these batteries must be significantly oversized, thereby increasing cost and physical footprint. Even with oversizing, regular replacement may still be necessary due to accelerated ageing.
However, LTO batteries are engineered for high power and exceptional durability. Despite having a lower energy density of around 100 Wh/kg, LTO cells can withstand tens of thousands of cycles, even under demanding load profiles. Their ability to charge and discharge rapidly at high charge rates (C-rates) allows for smaller system designs without compromising performance or longevity. This combination of properties makes LTO battery technology particularly well-suited to peak shaving applications.
LTO-powered hybrid generators: The RTG crane example
Hybrid generators, are commonly found in mining, construction, outdoor events, and telecommunications. They often operate in harsh environments where energy demand can fluctuate significantly and reliability is critical. These systems combine conventional diesel or gas engines with battery storage systems to efficiently handle peak demands.
Integrating LTO batteries enables hybrid generators to absorb short-term load spikes and operate continuously within their optimal power range (see Figure 1). This increases reliability and allows for the use of smaller, more cost-effective generators.
Table 1 compares the total cost of ownership (TCO) of a typical mobile hybrid generator with LTO versus LFP battery chemistry. In contrast to a very compact 15 kWh LTO battery, a conventional LFP battery would require at least four times the capacity for the same application. Although the cost per kWh is higher for LTO, the total acquisition cost is lower, and the service life is much longer than that of an LFP battery. Over a ten-year period, this results in significantly lower TCO compared with LFP batteries.
| LTO | LFP | |
| Capacity [kWh] | 15 | 60 |
| Relative price/kWh | 3 | 1 |
| Total relative cost | 45 | 60 |
| Equivalent full cycles per day | 8 | 2 |
| Lifetime [years] | 10 | 5 |
| Relative TCO for ten years | 45 | 120 |
Table 1: Toshiba LTO batteries achieve a lower TCO compared to LFP cells
A prominent use case for this approach is the rubber-tyred gantry crane (RTG) used in container terminals. RTGs face particularly high peak loads during lifting. In a typical RTG hybrid system, a 63 kWh LTO battery might be combined with a 30 kW diesel generator. While crane operation can require power levels of up to 300 kW, the battery absorbs these peak loads, allowing for a much smaller generator. Additionally, more than 10% of the energy can be recovered through energy recuperation when lowering the load, further improving overall energy efficiency (see Figure 2). Even after a decade of intensive use, equivalent to over 27,000 full cycles, LTO cells retain 96% of their capacity, demonstrating their durability and economic value.
Conclusion
LTO batteries provide a robust, long-lasting, and cost-effective solution for peak shaving in both mobile and stationary applications. Their unique combination of high cycle life, rapid charge and discharge capability, and compact design makes them ideal for demanding environments. As demonstrated in hybrid generators and container cranes, LTO battery technology provides a sustainable and economical alternative to conventional energy storage and power management systems.
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